86% organisations see IT budget increasing by 2020: study

New Delhi, March 2 -- Information security and cloud services will have the maximum impact on businesses in the next three to five years, a study commissioned by virtualization and cloud infrastructure company VMware found.
The study, conducted by Kantar IMRB, said 86% of organizations see their information technology budgets increasing over the next three years and 80% of businesses are willing to invest time, money and skills on cloud services.
According to the survey, 80% of very large enterprises, large enterprises (83%) and medium enterprises (82%) are likely to invest in private cloud. A high majority of these enterprises are willing to invest in public and hybrid cloud too.
IT security is top in the list of business priorities. As many as 87% of respondents surveyed in the IT/IT-enabled services/telecom sector, 55% in the manufacturing sector, 64% in banking, financial services and insurance, 53% in government/public sector/defence; and 65% from other services agree IT security is among the top business priorities.
Seventy percent of respondents from government sector and 67% from BFSI feel that budget for security should increase by 25% over the next year. Eighty-seven percent of organizations' security teams want to have business data safe from breaches and secure against cyber-attacks.
The survey was conducted from May to June 2016 across five industry verticals including manufacturing, banking, financial services and insurance, government/public sector/ defence, IT/ ITeS/telecom and other services (media, healthcare, retail & other professional services) covering Pan-India locations.
Inputs were gathered from over 150 respondents across a variety of companies ranging from medium-sized to very large organizations.
Each respondent was interviewed via a structured questionnaire on their business and IT priorities for their organizations in the next three years, including what they would like to see from IT vendors, the role of cloud computing in their businesses, and their outlook on their organization's IT budget spend
"With nearly 25% of all IT workloads being managed in the cloud today, and the number expected to double by 2021, it is evident that the traditional on-premises IT environment is undergoing a profound change. Today, CIOs play an extremely essential role in their organization's IT, and it is of utmost importance to have enterprise data available always-anytime and anywhere while tightly secured," said Arun Parameswaran, managing director, VMware India. "This study brings to light what CIOs should look out for in the next three years where new security approaches are needed as data center infrastructures increasingly move to the cloud."